ANNOUNCEMENT 30 Jul 2014
July 30th, 2014 - The regional government of a Chinese province announced the implementation of a subsidy.
NUMBER OF INTERVENTIONS
Shaanxi Provincial Government, July 30th, 2014. (陕政办发〔2014〕108号 陕西省人民政府办公厅关于进一步加快煤层气（煤矿瓦斯）抽采利用的实施意见)
In July 2014, the local government in China's northern Shaanxi Province released Shanzheng Banfa 2014/108 (hereafter, 'Announcement').
The Announcement largely echoed the policies put forward in a previous national announcement, Guo Banfa 2013/93 (see related act), however, the Shaanxi Announcement revealed that coalbed methane would be awarded a production subsidy of USD 0.0162 (CNY 0.1) per m3. This is on top of an existing national subsidy for production of USD 0.0325 (CNY 0.2) per m3.
In addition to the production subsidy, Shanzheng Banfa 2014/108 from China's Shaanxi Province government also instituted a VAT refund on the sale of coalbed methane gas, as well as a corporate tax exemption for firms that conducted R&D or expansion activities pertaining to coalbed methane gas extraction.
Finally, the regional announcement from Shaanxi province regarding the state-sponsored support of regional coalbed natural gas firms from July 2014 also stated that such firms would have import tariffs exempted on machinery and equipment imported for the purpose of extracting coalbed methane gas.
Specifically, equipment that 'is not domestically produced, or of which a domestically-produced version does not meet requirements' will be exempted on a case-by-case basis.
HS codes are taken from a later policy which instituted this nationwide and provided more detail on what kind of equipment would be exempted; see related act.